Game Theory and Exercises introduces the main concepts of game theory‎,‎ along with interactive exercises to aid readers‎'‎ learning and understanding‎.‎ Game theory is used to help players understand decision‎-making‎,‎ risk‎-taking and strategy and the impact that the choices they make have on other players‎;‎ and how the choices of those players‎,‎ in turn‎,‎ influence their own behaviour‎.‎ So‎,‎ it is not surprising that game theory is used in politics‎,‎ economics‎,‎ law and management‎.‎ This book covers classic topics of game theory including dominance‎,‎ Nash equilibrium‎,‎ backward induction‎,‎ repeated games‎,‎ perturbed strategie s‎,‎ beliefs‎,‎ perfect equilibrium‎,‎ Perfect Bayesian equilibrium and replicator dynamics‎.‎ It also covers recent topics in game theory such as level‎-k reasoning‎,‎ best reply matching‎,‎ regret minimization and quantal responses‎.‎ This textbook provides many economic applications‎,‎ namely on auctions and negotiations‎.‎ It studies original games that are not usually found in other textbooks‎,‎ including Nim games and traveller‎'‎s dilemma‎.‎ The many exercises and the inserts for students throughout the chapters aid the reader‎'‎s understanding of the concepts‎.‎ With more than 20 years‎'‎ teaching experience‎,‎ Umbhauer‎'‎s expertise and classroom experience helps students understand what game theory is and how it can be applied to real life examples‎.‎ This textbook is suitable for both undergraduate and postgraduate students who study game theory‎,‎ behavioural economics and microeconomics‎.‎